How to become a women-owned business

Certified woman-owned businesses are typically at least 51% owned, operated, and controlled by one or more women. Many programs use a 51% standard, but requirements vary by certifier and program. This certification helps businesses gain access to resources, networking opportunities, and government contracts aimed at promoting diversity and inclusion in the marketplace. 

What does it mean to be a certified woman-owned business? 

If you are a woman who owns a company, you can refer to it as a woman-owned business. But if you want to become a certified woman-owned business, there’s more to the process than you might think. 

A certified woman-owned business is a company that's typically at least 51% owned and run by women. You must apply for this business certification by applying through a professional organization like the Women's Business Enterprise National Council (WBENC) and undergoing a verification process. 

The primary benefit of becoming a certified woman-owned business includes access to your organization’s professional connections. Certification can open doors to government contracting programs, supplier diversity initiatives with large companies, and new partnership opportunities. Potential relationships vary based on the network of the organization that certifies your company so, in some cases, you may find it worthwhile to pursue certification from multiple organizations. 

Woman-owned vs. certified woman-owned 

A company can be owned by one or more women without being a certified woman-owned business. However, it doesn’t work the other way around: to qualify for certified woman-owned business status, you must be able to prove that your company is owned and operated by at least 51% female leadership. 

Women-owned vs. women-controlled: What’s the difference?

The terms "women-owned" and "women-controlled" refer to different aspects of business ownership and management. “Women-owned" focuses on ownership percentage, while "women-controlled" emphasizes the influence and authority women have within the business. Both terms are important in discussions about gender equity in entrepreneurship and business leadership.

• Woman-owned: This designation typically means that a business is at least 51% owned by one or more women. This ownership can be in terms of equity, meaning that women hold the majority of shares or stakes in the company. This classification is often used for certification purposes, such as for government contracts or grants aimed at supporting women entrepreneurs.
• Woman-controlled: This term goes a step further, indicating that women not only own the business in question, but also have significant control over its operations and decision-making processes. In a woman-controlled company, women are in key leadership roles as executives or board members.

Who is eligible for woman-owned business certification?

Qualification requirements vary by certifying organization, but you’ll typically need to prove the following when you apply:

• At least 51% of the business must be owned by one woman or more
• You must show clear proof that the woman owner manages and controls the business
• The woman leader should have full control over both legal documents and everyday operations
• A woman must hold the highest official title in the company's legal papers
• Prove that at least one woman contributed money or expertise to the business
• The majority woman owner(s) must be U.S. citizens or lawful permanent residents

Eligibility for the women-owned small business federal contracting program

The SBA’s Women-Owned Small Business (WOSB) Federal Contract Program helps eligible businesses compete for certain federal contracting opportunities, including set-aside contracts. The federal government’s goal is to award 5% of prime and subcontracting dollars to women-owned small businesses each year.  

Companies certified through WOSB are eligible for funding based on gender equity in entrepreneurship, increasing opportunities for these women-owned businesses to compete for government contracts.

Qualifying WOSBs meet the following criteria: 

• Must meet small business SBA size standards, which varies based on your industry
• Are at least 51% owned and controlled by women who are U.S. citizens or legal  
• Are managed day-to-day by women who also make long-term decisions

This article is for informational purposes; program rules can change—check SBA/WBENC for current requirements.

Eligibility for economically disadvantaged certification

A further SBA distinction exists for economically disadvantaged women-owned small businesses (EDWOSB), which are eligible for specific contracts earmarked for EDWOSBs.

EDWOSB-eligible businesses meet these additional requirements (current as of March 12, 2026):

• Fully qualify for the WOSB federal contract program 
• Are owned and controlled by one or more women who each have a personal net worth less than $850,000
• The qualifying woman owner(s) must each have $400,000 or less in adjusted gross income averaged over the previous three years 
• Qualifying woman owners can only have $6.5 million or less in personal assets

Eligibility for WBENC women’s business enterprise certification

The WOSB and EDWOSB programs through the U.S. SBA are specifically for businesses seeking federal government contracts. If your small business focuses on the private sector, you may want to pursue certification through The Women's Business Enterprise National Council (WBENC). 

WBENC helps women-owned businesses grow by providing certification, resources, and networking opportunities primarily within the private sector. WBENC certification allows participating woman-owned businesses to connect with corporations seeking to diversify their suppliers.

WBENC processing fees are tiered by revenue and commonly range from about $350 to $1,250 (varies by revenue tier/region. You’ll also need to meet the following criteria:

• Majority-owned by one or more women 
• Demonstrate proof that women manage and control the business, including for legal documents and in day-to-day operations 
• A woman must hold the highest leadership title in the company’s legal documents 
• Show that a woman invested significant expertise and/or financial capital in the company
• Proof of U.S. citizenship or lawful permanent resident status for majority woman owner(s)

Understanding the women-owned small business federal contracting program 

The WOSB program expands federal contracting opportunities for women entrepreneurs. There are some specific terms for business contracts through WSOB, which we’ll explain in greater detail below. 

What set-asides are and when they apply

A set-aside refers to certain federal contracts that are reserved for certified businesses in categories where women-owned firms are underrepresented, as identified by their North American Industry Classification System (NAICS) codes. These are designed to promote equitable access for businesses owned and operated by women. 

Only businesses that meet the certification requirements and operate in these designated industries can compete for set-aside contracts through the federal government. 

How certification works through MySBA Certifications 

To compete for WOSB set-aside contracts, firms use SBA’s MySBA Certifications process. SBA also recognizes certain approved third-party certifiers; firms submit their third-party documentation as part of SBA’s process. If you qualify for EDWOSB designation, this application page will also walk you through the process of uploading all required documentation. 

Some organizations like WBENC are approved third-party certifiers for WOSB designation as well. So if you also plan to apply for WBENC certification, you can tackle both applications at the same time by going that route. 

WOSB vs. EDWOSB comparison

What is the WBENC certification?

Women's Business Enterprise National Council (WBENC) certification is a prestigious designation that recognizes businesses owned, operated, and controlled by women. 

WBENC certification is highly regarded in the private sector for corporations seeking to enhance their supplier diversity initiatives. WBENC quickly helps these large businesses identify and connect with qualified women-owned businesses by offering a standardized verification process. 

What WBENC certification can help with

WBENC-certified businesses can access WBENC’s corporate partners for business opportunities with companies who want to promote diversity and inclusion in their supply chains. As a result, WBENC certification can open doors to various business opportunities, resources, and support tailored specifically for women entrepreneurs.

What WBENC looks for during verification

The WBENC qualification review process typically includes documentation checks and sometimes a site visit or interview to confirm that women truly own, operate, and control the company. 

WBENC evaluates ownership, management and control, business structure, financial and operational independence to ensure each business meets its stringent requirements for woman leadership.

Other women-owned business certifications to consider

You can pursue woman-owned business certifications across many different verticals. In addition to federal and national programs, some states and cities, such as Texas and New York City, offer locally specific certification and support for woman-owned businesses. These can be helpful if you plan to work with local governments or regional procurement programs.

You can also pursue certification within your industry. For example, construction businesses with women leadership may benefit from joining the National Association of Women in Construction (NAWIC) for support, networking opportunities, and greater exposure. 

How to become a certified woman-owned business 

The exact steps for certification vary based on the organization you choose and industry you’re in, but most follow a similar path. Many businesses start with the certification that aligns with their immediate goals, such as federal contracting or corporate partnerships, before expanding to others. 

• Confirm eligibility and ownership structure
• Gather required documentation such as formation records, tax returns, and operating agreements
• Apply through the appropriate certification body, typically online 
• Complete any verification steps, which may include interviews or additional documentation
• Once approved, maintain compliance and update records as your business grows
• As a general rule, you’ll need to requalify once every year, or whenever your leadership undergoes significant change 

Why woman-owned certification matters 

Certification as a woman-owned business can expand access to opportunities that might otherwise be difficult to reach. It also signals to your partners and clients that your business has gone through a formal verification process.

Pros and cons of certifying as a woman-owned business

If you're considering getting certified as a woman-owned business, it's important to evaluate the pros and cons for your specific business. In some industries, certification can help you land special contracts, boost your business's credibility, connect you with other women entrepreneurs, and offer access to helpful resources. 

But it isn’t always worth the investment: Not every business benefits from certification, and you can spend more money and time than it’s worth to qualify and maintain your status. Many women who are business owners report having no issues securing business contracts and partnerships without holding formal certification through the SBA, WBENC, or other organizations. 

Knowing these pros and cons can help you decide if certification is the right move for you.

Frequently asked questions